The star has donated the complete sum of his £25,000 honor prize money to the trust for venues, which functions to protect the Britain's independent concert spaces.
Fender was presented with the prize on October 16 as his third album the album was chosen as the best record of the previous year.
The musician has decided to donate the funds to the Music Venues Trust, in acknowledgment of the vital role small stages fulfilled in his initial steps.
"As an artist would not have achieved what I am doing today if it wasn't for all the performances I performed around the North East, and further afield, when I was just getting going," said Sam Fender. "These locations are iconic, but they are in difficulty."
Since the start of 2023, at least 150 of these spaces have shut down – about one-sixth of the whole industry in the UK.
In the last year, top acts such as the band Pulp, Coldplay, Katy Perry and Ed Sheeran have all aided the MVT in its efforts to keep the scene afloat, by including a modest fee to their ticket prices, which benefits independent venues.
He also took part, raising in excess of £100,000 on his live tour to support numerous grassroots venues across England, Scotland, and Wales.
These funds helped locations that were confronting possible closure due to issues stemming from water damage, blazes and family tragedies, as well as regulatory hurdles, conflicts and sound issues.
Some locations obtained funding support in improving amenities and gear that positively impacted artists and concertgoers.
"The idea that funds from shows in major spaces helps the smaller venues, where it begins for artists like me, is just common sense," Fender has commented.
The musician is not the first artist to give his Mercury Prize winnings to good deeds.
When the band won the award in the mid-90s for their album Different Class, frontman Cocker announced that the group would donate their prize money to the organization War Child.
During 2002, artist the artist shared her prize among multiple good causes, such as the children's charity and a Sickle Cell charity.
"I also gave a thousand pounds to the center, to their gymnastics class, because I trained in gymnastics when I was younger and they required updated gear," Ms Dynamite shared with outlets.
Previously, the band donated their funds to the youth organization that developed their group, as well as other local music groups.
Additionally the 1994 recipients M People gave their prize to a multiple sclerosis charity after a acquaintance was found to have the disease.
"The victory was quite enough," stated vocalist Small. "The cash was the cherry on top but we didn't need the bonus, because we had the cake. So our success impacted another person's life."
In the past week, the Music Venues Trust announced it had rescued a couple of local spots in the South East, by bringing them into community ownership.
The first in that area and the second in that location were acquired under the public acquisition program, which is funded by Arts Council England and supporters who acquire "shares" in the venues.